United States. Sherwin-Williams and Valspar Corporation have announced that they have extended the termination date of the definitive agreement under which Sherwin-Williams will acquire Valspar for $113 per share in a cash transaction.
Sherwin-Williams previously reported in its 2016 earnings release and 2016 Annual Report that it expected an assignment would be required to obtain federal trade Commission approval and complete the Acquisition of Valspar.
As previously reported, the anticipated divestiture represents annual revenue well below Valspar's $650 million threshold of revenue in 2015, so the Valspar transaction is expected to be completed at a price of $113 per share. At the time, Sherwin-Williams expected valspar's assignment and transaction to close by the end of April 2017.
Sherwin-Williams no longer believes the divestiture will be completed, and the Valspar acquisition will have closed by the end of April, and expects to provide a more definitive timeline for the divestiture and completion of the Valspar acquisition in its first-quarter earnings report on April 20, 2017. The extension of the merger agreement until June 21, 2017 is intended to provide sufficient time to complete the acquisition of Valspar.
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